1. Commit to a small savings goal. A small step forward is better than a giant leap forward couple with a loss of motivation. Think of the tortoise and the hare — slow and steady wins the race. Instead of creating a massive savings goal that’s hard to reach, make smaller commitments and turn them into smaller daily or weekly goals.
2. Implement a “cooling off” period. If you’re an impulse buyer, one of the best ways to change your spending habits is to implement a cooling off period – make yourself wait a week or a month before you buy the item you “desperately” want. If you still feel you need it after the preset time, then go ahead! Otherwise you’ll probably forget about it, and saved yourself a lot of money.
3. Avoid temptation. It’s a lot easier — and less stressful — to avoid temptation vs trying to resist it. If you like to shop but tend to overspend, limit how many times you enter a store. If you enjoy eating out, take a different way home from work so you don’t have to drive by your favorite fast food spot.
4. Focus on one goal at a time. For the majority of the population (including me) it’s nearly impossible to multitask successfully. Likewise it’s hard to make any progress on your financial goals if you spread out your focus. You’ll gain momentum much faster if you focus your effort and hone in on one financial goal at a time.
5. Find a mentor. Treat your finances like an investment, and find someone who can mentor you throughout this process. Not all of us can afford to hire expensive financial planners, so turn a family member or close friend is has expertise in this area. Or, you may get a financial advice from a financial or insurance advisor. If you’re comfortable opening up to them, they can help you realize the error of your ways and check-up on your progress.
0 comments:
Post a Comment